SERVE! BATON ROUGE, INC. Baton Rouge, Louisiana

Transcription

1 SERVE! BATON ROUGE, INC. FINANCIAL REPORT (Compiled) August 31,2004 Under provisions of state law, this report is a public document. A copy of the report has been submitted to the entity and other appropriate public officials. The report is available for public inspection at the Baton Rouge office of the Legislative Auditor and, where appropriate, at the office of the parish clerk of court. Release Date 3i

2 SERVE! BATON ROUGE, INC. TABLE OF CONTENTS August 31,2004 Exhibit Page INDEPENDENT ACCOUNTANTS' COMPILATION REPORT 1 FINANCIAL STATEMENTS Statement of Financial Position A 2 Statement of Activities B 3 Statement of Cash Flows C 4 Notes to Financial Statements D 5

3 CPAs Business Advisors Wealth Managers Board of Directors Serve! Baton Rouge, Inc. INDEPENDENT ACCOUNTANTS' COMPILATION REPORT We have compiled the accompanying statement of financial position of SERVE! BATON ROUGE, INC. (a non-profit organization) as of August 31, 2004, and the related statements of activities, and cash flows for the year then ended in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. A compilation is limited to presenting in the form of financial statements information that is the representation of management. We have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or any other form of assurance on them. * December 21,2004 Certified Public Accountants 6811 Jdl^nHighway-Baton Rouge,I^^ 1404 S. Bumside Awnue Gonzaks, IA (225)

4 Exhibit A SERVE! BATON ROUGE, INC. STATEMENT OF FINANCIAL POSITION August 31,2004 (See Independent Accountants' Compilation Report) ASSETS CURRENT Cash Grants receivable Prepaid expenses Total assets 32, ,127 $ 34,516 LIABILITIES AND NET ASSETS CURRENT LIABILITIES Due to related party Accounts payable Accrued expenses Deferred revenue Total liabilities NET ASSETS Unrestricted Temporarily restricted Total net assets Total liabilities and net assets 10, ,477 13,039 10,000 23,039 $ 34,516 The accompanying notes to the financial statements are an integral part of this statement. 2

5 Exhibit B SERVE! BATON ROUGE, INC. STATEMENT OF ACTIVITIES For the year ended August 31, 2004 (See Independent Accountants' Compilation Report) REVENUES Grants Other: Contributions Golf tournament Miscellaneous In-kind contributions Net assets released from restrictions Unrestricted $ 107,276 $ 50,845 8, ,903 1,187 Temporarily restricted (1,187) Totals $ 107,276 50,845 8, ,903 Total revenues 174,772 0,187) 173,585 EXPENSES Program: Personnel Operational Administrative Fundraising 121,529 51,912 19,024 4, ,529 51,912 19,024 4,915 Total expenses 197, ,380 Increase in net assets (22,608) (1,187) (23,795) NET ASSETS Beginning of year 35,647 11,187 46,834 End of year $ 13,039 $ 10,000 $ 23,039 The accompanying notes to the financial statements are an integral part of this statement. 3

6 Exhibit C SERVE! BATON ROUGE, INC. STATEMENT OF CASH FLOWS For the year ended August 31, 2004 (See Independent Accountants' Compilation Report) CASH FLOWS FROM OPERATING ACTIVITIES Decrease in net assets Change in operating assets and liabilities: Operating assets Operating liabilities Net cash used by operating activities CASH Beginning of year End of year 2004 $ (23,795) 30,862 (10,188) (3,121) 35,910 $ 32,789 The accompanying notes to the finacial statements are an integral part of this statement. 4

7 Exhibit D SERVE! BATON ROUGE, INC. NOTES TO FINANCIAL STATEMENTS NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization and Operations Serve! Baton Rouge, Inc. (SBR) is a non-profit corporation whose purpose is to engage Americans of all ages and backgrounds as participants in community based service that provides a direct and demonstrable benefit that is valued by the community. Areas of service are education, public safety, the environment, and other human needs. SBR primarily operates in the Baton Rouge area. Basis of presentation The accounting and reporting policies of SBR conform to generally accepted accounting principles. Revenue is recognized when services are rendered and expenses are recognized when incurred. SBR reports its financial position and activities according to three classes of net assets: unrestricted net assets, temporarily restricted net assets, and permanently restricted net assets. SBR does not have any permanently restricted net assets at August 31, Estimates The preparation of financial statements in conformity with general accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Estimates are used primarily when accounting for in-kind revenues and expenses. Cash For purpose of the statement of cash flows, SBR considers cash in operating bank accounts as cash. At August 31, 2004, SBR did not have any cash equivalents. Financial instruments which subject SBR to concentrations of credit risk consist primarily of cash. SBR typically maintains these balances in local banks that may, at times, exceed the FDIC limits.

8 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) Temporarily Restricted Net Assets Exhibit D Continued Unrestricted net assets represent resources over which the Board of Directors has discretionary control and are used to carry out operations of SBR in accordance with its bylaws. Temporarily restricted net assets include contributions for support which are designated for specific community programs to be organized and implemented by SBR. In-kind contributions The value of contributed services to SBR has been recognized at the fair market value of the benefit received. Contributed services, during the year ended August 31, 2004, consist of fiindraising activities related to SBR's golf tournament. Fundraising expenses were related to advertising and supplies donated to SBR. During the year ended August 31, 2004, SBR received $6,903 as in-kind contributions. Contributions of services are recognized in the financial statements if the services enhance or create non-financial assets or require specialized skills, are provided by individuals possessing these skills and would typically be purchased if not provided by donation. Fair value of financial instruments The carrying value of cash, receivables, prepaid expenses, deferred revenues, accounts payable, and accrued expenses approximate fair value due to the short-term maturity of these instruments. None of the financial instruments are held for trading purposes. Income taxes The Corporation is a nonprofit organization that is exempt from income taxes under Section 501(c)(3) of the Internal Revenue Code. NOTE 2 - ECONOMIC DEPENDENCY Grant revenue received through the State of Louisiana, for the year ended August 31, 2004 was approximately $107,300 or 60% of revenues. Accordingly, SBR is economically dependent on the State of Louisiana. NOTE 3 - RELATED PARTY The East Baton Rouge School System receives funding from the Corporation for National Service through an AmeriCorps' federal grant. Expenditures of the grant are administered by the School System for all program costs. However, grant compliance responsibilities are administered by SBR, including periodic reporting to the federal government, fulfillment of matching requirements, program operations, maintenance of records and participant eligibility determinations. During 2004, the School System administered federal grant related expenditures of approximately $171,100 and these costs are not reported in SBR's financial statements. At August 31, 2004, SBR owed the School System approximately $10,000 to meet matching requirements associated with this grant.